Prove my Tax Accountant Wrong - Sale of Business Prop
Hi - I would love help double checking some numbers, and proving my tax prep accountant wrong. Here my basics:
Bought 2nd home that has been 100% rented in 2010 for $425,000 plus closing costs and other considerations (value of appliances etc..) for a total unadjusted basis of $444,569 -- including $44,825 in land.
I placed the home in service on 1/1/2011 and sold it on 10/14/2014.
The sale price was $425,000 and associated sale costs were $29,000.
My main questions are around lines 21-25 on form 4797. A present, they are:
21 (gross sale price) = $380,175
22 (cost basis + expense of sale) = $408,948
23 (depreciation) = $54,103
24 (adjusted basis) = $354,845
25 (total gain) =$25,330
It seems to me that line 21 is wrong. To me it should be $44,569 - $44,825 (to take out the land) + $29,000 in expense of sale = 428,744.
If that is done, my total gain becomes $5534, or roughly $20,000 lower. Am I missing something? Thanks greatly for any reaction or advice !